Negative Stock Configuration in SAP MM

Negative stock is a concept in SAP that allows inventory to be issued or sold even when there is no physical stock available. This can be useful in some scenarios, such as:

  • When there is a delay in updating the inventory records due to technical or operational reasons, but the business needs to continue the sales or production process.
  • When there is a temporary shortage of stock due to high demand or supply disruptions, but the business expects to receive replenishment soon and wants to avoid losing customers or orders.
  • When there is a planned negative stock situation, such as when a consignment vendor delivers goods directly to the customer, but the business still wants to record the sales and revenue in SAP.

This document provides an overview of negative stock handling in SAP MM (Materials Management). It covers the prerequisites and configuration steps required to allow negative stocks at the plant and storage location level. Two scenarios are presented to demonstrate how negative stocks can be utilized when a goods issue needs to be completed before the corresponding goods receipt is posted.

List of topics covered in the document are;

  • What is Negative Stock Handling
  • Prerequisites for Negative Stock Handling
  • Scenario 1: Goods issue with movement type 201, goods receipt with movement type 101
  • Scenario 2: Goods issue with movement type 201, stock transfer between locations with movement type 311
  • Important points to remember about negative stocks

Download PDF – Negative Stock Configuration in SAP MM

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